Biglaw, Bonuses, Money

Associate Bonus Watch: Cravath Scale 'Blown Away' By Rival Firm

Happy campers at this Biglaw firm, who learned yesterday afternoon that most of them would be taking home bonuses that their peers can only dream of.

By  
on

UPDATE: Some additional associate feedback — including a blistering negative review — at the bottom!

There are some happy campers at this Biglaw firm after learning yesterday afternoon that most of them would be taking home bonuses that their peers can only dream of. There’s no better way to kick off the holiday season than with some money in your pocket and something tangible to lord over all your friends.

Associates at Kirkland & Ellis — Above the Law’s #2 ranked firm — are generally pleased today after learning that the firm has once again provided bonuses in multiples of the Cravath scale. Well, maybe it’s not fair to say “multiples” when the scale tops out at 1.5 times the Cravath scale, but fractions are a kind of multiple, right? The point is, Kirkland bonuses meet and for the most part exceed the Cravath scale. For those who’ve forgotten, Kirkland doesn’t provide lockstep bonuses, but rather individualized payouts based on seniority, hours, and performance. That said, we have a general idea of the distribution of bonuses from some loyal tipsters:

12% 1x NY market
35% 1-1.24x NY market
40% 1.25-1.49x NY market
13% 1.5x NY market

So roughly 88 percent of associates will be taking home more than their fellow Biglaw drones. Most associates are pleased:

  • “We are all pretty happy at the overall statistics — looks like market is getting blown away.”
  • “K&E bonuses smoked the market again this year. I’m class of 2011 in Chicago and got $100,000 (1.5X Cravath). Everyone I’ve talked to got way above market–at least $25,000 better.”
  • As always, above the NY scale by about 20% or so. Class of 2011, over $80,000 for almost 2500 hours. Pretty happy with it. Some people had expectations bonuses would be higher, but most people seem content. Now if only the firm would raise base pay instead of deferring compensation!

Indeed. But not all associates are as pleased. Just like last year, some associates who remember when Kirkland really did offer multiples of the market are grumpy, saying that bonuses, while better than market, are weak by Kirkland’s historical standards.

Sponsored

Declining bonuses are always lame. Back in the early 2000s, Biglaw bonuses for first years went from $35K one year to $17K the next. It was a kick in the teeth, but you can’t dwell in the past. Slimmer bonuses may not be fun, but be grateful the firm is still committed to surpassing its fellow players in the market when too many firms lazily phone in bonuses to match whatever Cravath tells them to do.

Congratulations, Kirkland associates! Your holidays are brighter than everyone else’s. About 1.25-1.5x brighter on average, I guess.

Remember, if your firm just announced bonuses, let us know by email or by text message (646-820-8477).

UPDATE (12:35 p.m.): A few more associates have weighed in.

  • “Kirkland NYC 2nd year weighing in – more than $25K. At less than 1800 hrs. Very happy.”
  • “Got my bonus info. Class of 2011… in Chicago. Blew market away: over $120K. Very happy.”
  • “That Kirkland post is total bulls**t. Kirkland was giving multiples of Cravath LAST YEAR not just in early 2000s. Lots of people referring to this as ‘jelly of the month club.’ You must be talking to low performers who never received multiples and are happy to just get more than Cravath. Performers were snubbed this year.”

Sponsored

I think the “early 2000s” reference misreads the original post, which was talking about the NYC market bonuses of the early 2000s, but the point remains — as the post notes — Kirkland used to give round-number multiples of the market bonuses (though last year — to our knowledge — Kirkland topped out at 2.0x the Davis scale). In any event, a solid Christmas Vacation reference.

Earlier: Associate Bonus Watch: Kirkland & Ellis Returns To Shattering The Bonus Market Ceiling
ATL Power 100
5 Reasons These Biglaw Bonuses Suck

Bonus Time

Enter your email address to sign up for ATL's Bonus & Salary Increase Alerts.

Topics

, , , , ,